According to Capital Wealth Planning's Jeffrey Saut, the breakout is officially here due to a major breakthrough.

"You came down into a selling climax on August 5, and we deem that to be the low," the firm's chief investment strategist told CNBC's "Trading Nation" on Wednesday. "We've been in this trading range between August 5 and last week, and we broke out to the upside last week."

The S&P 500 closed above 3,000 on Wednesday for the first time since late July. It's now a fraction of a percent from record highs. Thursday's futures prices were pointing higher after President Donald Trump and China offered conciliatory moves in their trade war.

Saut, who has $1.5 billion in assets under management, contends the fear dynamic over the impact of the U.S.-China trade war, inverted Treasury yield curve and global growth fears are dissipating for good.

"Our work suggests where interest rates are right now that a fair market multiple on the S&P is 19 times earnings.," he said. "You're still looking at above 3,100 on the S&P by year-end."